CASE STUDY GBI received payment from Windy City Bikes for their order from January 3. Windy City paid the invoice amount less the discount for paying within 10 days. GBI paid $92,820 via bank transfer for the inventory order that they received from Dallas Bike Basics January 3. 9 10 January 12 In order to better track inventory, GBI ordered a bar-coding and tracking system which will be installed and tested by Computer Specialists, Inc. (CSI). The system will allow employees to track inventory using mobile devices and special software which will link into their new computerized accounting system. The barcode system costs $5,995 (including sales tax) and CSI will charge GBI $1,200 for the installation and tests. GBI paid a deposit of $3,000 on the system and the remainder is due and payable when the system is installed. GBI will classify the bar-coding system as "Production 11 January 13 Machinery, Equipment and Fixtures 12 January 17 GBI paid an invoice from Lightbulb Accessory Kits for ordered goods that were received on December 20. The amount of the invoice from Lightbulb is $17.010 due net 30 The city of Denver will be hosting a decathlon at the end of February The event is expected to create demand for high quality bikes. Rocky Mountain Bikes in Denver, CO placed an order with GBI for $128,130 worth of bicycles to be delivered immediately. Rocky Mountain will pay the shipping. The bikes cost GBI $79,441. GBI shipped the order immediately so that Rocky Mountain can start promoting the bikes. Because Rocky Mountain is a good customer, 13 GBI is giving them special terrms of not 45 days on this order the $100,220 invoice from Space Bike. the $1,610 that Bunky's owed them. Palo Alto for the balance due on their account GBI paid Staples for the office supplies they received January 11 GBI received raw materials inventory ordered from Space Bike Composites January 11. Shipping charges of $802 were included in 14 GBI received notice that Bunky's Bicycle Emporium had declared 15 seation 13 bankruptcy which meant GBI would not be able to collect 16January 18 GBl received a $89.960 funds transfer from Silicon Valley Bikes in 17 January 19 Socal ona n invine C Paced an order for sa.300 in bicjecan 18 helmets for a special event in February. The merchandise cost GB $1,380. SoCal sent a truck to the GBI distribution center in San Diego, CA and picked up the merchandise directly from GBIS warehouse. Terms of paymentare net 30 (Don't forget to charge I sales tax of 8.75% for this order.) OSAP AG Page 10 CASE STUDY GBI received payment from Windy City Bikes for their order from January 3. Windy City paid the invoice amount less the discount for paying within 10 days. GBI paid $92,820 via bank transfer for the inventory order that they received from Dallas Bike Basics January 3. 9 10 January 12 In order to better track inventory, GBI ordered a bar-coding and tracking system which will be installed and tested by Computer Specialists, Inc. (CSI). The system will allow employees to track inventory using mobile devices and special software which will link into their new computerized accounting system. The barcode system costs $5,995 (including sales tax) and CSI will charge GBI $1,200 for the installation and tests. GBI paid a deposit of $3,000 on the system and the remainder is due and payable when the system is installed. GBI will classify the bar-coding system as "Production 11 January 13 Machinery, Equipment and Fixtures 12 January 17 GBI paid an invoice from Lightbulb Accessory Kits for ordered goods that were received on December 20. The amount of the invoice from Lightbulb is $17.010 due net 30 The city of Denver will be hosting a decathlon at the end of February The event is expected to create demand for high quality bikes. Rocky Mountain Bikes in Denver, CO placed an order with GBI for $128,130 worth of bicycles to be delivered immediately. Rocky Mountain will pay the shipping. The bikes cost GBI $79,441. GBI shipped the order immediately so that Rocky Mountain can start promoting the bikes. Because Rocky Mountain is a good customer, 13 GBI is giving them special terrms of not 45 days on this order the $100,220 invoice from Space Bike. the $1,610 that Bunky's owed them. Palo Alto for the balance due on their account GBI paid Staples for the office supplies they received January 11 GBI received raw materials inventory ordered from Space Bike Composites January 11. Shipping charges of $802 were included in 14 GBI received notice that Bunky's Bicycle Emporium had declared 15 seation 13 bankruptcy which meant GBI would not be able to collect 16January 18 GBl received a $89.960 funds transfer from Silicon Valley Bikes in 17 January 19 Socal ona n invine C Paced an order for sa.300 in bicjecan 18 helmets for a special event in February. The merchandise cost GB $1,380. SoCal sent a truck to the GBI distribution center in San Diego, CA and picked up the merchandise directly from GBIS warehouse. Terms of paymentare net 30 (Don't forget to charge I sales tax of 8.75% for this order.) OSAP AG Page 10